The real stories from inside the F1 paddock

Emilio Botin

Emilio Botin, the chairman of Santander, has died at the age of 79. Botin was the motive force behind the company’s massive involvement in F1 and his death may mean some serious changes in the years ahead, particularly if his replacements do not share his belief that F1 is good for a business. It is anticipated that his daughter Ana Botin will replace him.

Botin was born into banking. His grandfather Emilio Botín y López, was the first Santander chairman in 1920. His father Emilio Botín Sanz de Sautuola y López took over in 1950 and he in turn took over from his father as bank chairman in 1986, although he joined the board as early as 1960, after he had completed his studies in law and economics. He became the CEO of the bank in 1967 and CEO in the 1970s. Under his leadership, Santander grew by acquisition, buying a string of banks around the world in the 1990s and 2000s. The group now has a market capitalisation of nearly $120 billion. Along the way he was able to build up his personal wealth to around $1 billion. He used F1, and particularly the association with Fernando Alonso to build up the bank’s branding.

I thought they sold PM a kind of bond structure, gaining a initial USD$$ 250MM, at a very useful time. I never came across any more details, but the original was large enough to get mention in PM’s accounts, IIRC. My belief, is that, with a loan like structure, PM could be paid in advertising, or repaid cash, and that PM retained the first option how it take that, and rights to resell given conditions. I think Risk magazine, also ran a small piece on it.. sorry my memory is hazy, best of my recollection.

Hi rpaco, just to say, I think Santander were very firm, saying that they could not get the worldwide reach with McLaren that they could with Ferrari. And then, there’s Ferrari’s new plans, whatever they may be. I don’t really get how you mean, a loss to McLaren as well as Ferrari?